Iran Claims Draft Deal to Reopen Hormuz — US Immediately Calls It a 'Complete Fabrication'

Iran has claimed that a draft agreement to reopen the Strait of Hormuz has been reached, publishing what it says is a "memorandum of understanding" through state television. The US responded within hours, calling the report a "complete fabrication."

The Iranian state television broadcast cited what it said was a draft document outlining terms for the reopening of the critical waterway, through which approximately 20% of the world's oil passes. However, it clarified that the text had not been "finalised" as of yet, leaving room for ambiguity.

The Strait of Hormuz has been at the centre of the conflict between Iran and the United States, with Iran using its strategic position to threaten the global oil supply as leverage in negotiations. Any deal to reopen the strait would be a significant breakthrough — but only if it is real.

The US administration dismissed the Iranian claim outright. "This is a complete fabrication," a White House spokesperson said. "There is no draft deal. The Iranian regime is trying to create the impression of progress where none exists."

For global markets, the conflicting claims are a source of anxiety. Oil prices have fluctuated wildly on every rumour of a breakthrough or breakdown in negotiations. If the Hormuz question can be resolved, it would remove a major source of instability from the global economy.

This is Dr. Raj Patel for Global1 News, reporting from Mumbai. 🇮🇳